It is best to seek professional counsel from a qualified Chicago bankruptcy attorney before making the decision to file for bankruptcy. A qualified attorney can help you decide if this is your best option. Did you know that more than 1.5 million people file for bankruptcy each year? The social stigma associated with bankruptcy in former years is gone. More and more people are having debt difficulties and seeking a workable solution to help them get back on their feet financially. The two types of personal bankruptcy filings are Chapter 13 and Chapter 7. Each type is significantly different in rules and outcomes.
Bankruptcy, although not a desirable option, may be the best solution for you if you are hopelessly behind on bills such as car payments, loans, medical expenses, mortgages, or other bills. Of course, if at all possible, you want to work out a solution with your creditors. However, sometimes creditors can be less than understanding to people who are unemployed, laid off from work, disabled, or without income through circumstances beyond their control. If this sounds like you, contact a qualified bankruptcy attorney Chicago before your creditors take you to court. Once your creditors have sued you in court, they may be able to obtain a judgment against you and may be able to garnish your wages until you have paid your balance in full.
Chapter 13 personal bankruptcy involves the court setting up a repayment plan for you to pay off your existing creditors and the debts you owe them. In most cases, before a person is allowed to file for Chapter 13 bankruptcy, he must first undergo an approved debt counseling program. Once you have completed your debt counseling program, you will need to consult with your attorney to begin proceedings. He can give you more information about the paperwork that will be required in the process including documentation you will need such as bank statements, recent tax returns, schedules of liabilities and assets, case filing fees, and other important information. Once you file Chapter 13 bankruptcy, this should stop any garnishments or foreclosure proceedings. It can be a way for you to gain a fresh start financially.
Chapter 7 bankruptcy differs from Chapter 13 bankruptcy in that your assets will be liquidated and the money turned over to the court to pay towards your debts. Again, you must undergo approved credit counseling before filing. There are filing fees you will have to pay to file Chapter 7 bankruptcy in court. For certain low-income cases, the judge can approve that these fees be waived. Under Chapter 7 bankruptcy, some debts may be completely discharged. The presiding judge will make the determination as to which debts you will not be responsible for repaying.
Initial consultation with a Chicago bankruptcy attorney is free. You can discuss your case and get the best legal advice available. Bankruptcy may not be desirable, but it is survivable and may be the best solution to helping you get your finances back in order.
A Chicago bankruptcy attorney can help you go over all your options and decide is bankruptcy is the right debt solution option for you. Chicago Debt Solutions has 5 convenient metro area locations to serve you. Julie Trepeck is a skilled attorney with extensive experience and legal knowledge of bankruptcy laws. She can assist clients in all stages of debt problems and help them find a solution. For more information or to schedule your free debt solution consultation, you may visit the website http://www.chicagodebtsolutions.com/ or call 312.445.9106. You can also visit their Google+ page for more information.
